Fujian Boss Software Corp(300525)
Fujian Boss Software Corp.
(registered address: No. 5, Gaoxin Avenue, Shangjie Town, Minhou County) feasibility analysis report on the use of funds raised by issuing shares to specific objects in 2021
December, 2001
Fujian Boss Software Corp(300525) (hereinafter referred to as “the company” or ” Fujian Boss Software Corp(300525) “) intends to issue shares to specific objects to raise funds. The feasibility analysis of the board of directors on the use of the funds raised by issuing shares to specific objects is as follows:
1、 Use plan of the raised funds
The total amount of funds raised from the issuance of shares to specific objects does not exceed 200 million yuan (including 200 million yuan), which will be used to supplement working capital after deducting the issuance expenses.
2、 Necessity and feasibility of using the raised funds
(i) Necessity of raising funds this time
1. Guarantee the stability of control of listed companies
As of the date of this report, Mr. Chen Hang, the actual controller of the company, directly holds 17.76% of the equity of the company (excluding the number of shares in the company’s special account for repurchase). As the issuing object, Mr. Chen Hang fully subscribes for the shares issued to specific objects. If the issue can be implemented smoothly, Mr. Chen Hang will directly hold 20.13% of the shares of the company, and the increase of the shareholding proportion of the actual controller will play a positive role in ensuring the stability of the control of the listed company.
2. Enhance the company’s financial strength and grasp the development opportunities of the industry
The company’s main business is the development, sales and service of software products, focusing on the fields of financial electronic bills and non tax revenue, government smart finance, public procurement, smart city + digital village, helping the government create a new Shenzhen New Land Tool Planning &Architectural Design Co.Ltd(300778) governance model and promote the digital upgrading of the industry. With the rapid development of the industry and the continuous growth of the company’s business, the company’s demand for working capital is increasing; Secondly, in order to maintain the company’s product advantages, the company needs to constantly update and bring forth the new, provide customers with better and more complete products, and the corresponding demand for working capital is also increasing; Finally, the company is a light asset company focusing on software and services. Human resources related expenses are an important part of the company’s costs. With the continuous increase of the number of employees and the continuous rise of the average salary of employees, the company’s demand for working capital continues to increase. The company supplements the funds required for the company’s future business operation by issuing shares to specific objects, It is conducive to improving the company’s liquidity and enhancing its business undertaking and operation capacity.
3. Enhance capital strength and improve anti risk ability
Through this issuance, the company’s current assets and net assets will rise, liquidity indicators such as current ratio and quick ratio will be improved, and the company’s capital strength and anti risk ability will be further enhanced; Secondly, maintaining a certain level of working capital can improve the company’s ability to resist the risk of major adverse changes in the future market or other force majeure factors. At the same time, under the favorable market environment, it also helps the company maintain a good business undertaking and operation ability, help the company seize the market opportunity and avoid missing business opportunities due to insufficient liquidity.
（2） Feasibility of the raised funds
1. The use of the funds raised in this offering complies with the provisions of laws and regulations
The funds raised by issuing shares to specific objects to supplement working capital comply with the provisions of relevant laws and regulations such as the administrative measures for the issuance and registration of public securities listed on the gem (for Trial Implementation), the Q & A on issuance supervision – regulatory requirements on guiding and standardizing the financing behavior of listed companies (Revised Version), and are feasible.
2. The issuer’s governance is standardized and internal control is perfect
According to the governance standards of listed companies, the company has established a modern enterprise system with the corporate governance structure as the core, and formed a more standardized corporate governance system and a perfect internal control environment through continuous improvement and improvement. In terms of the management of raised funds, the company has established the measures for the management of raised funds in accordance with the regulatory requirements, which clearly stipulates the storage, use, investment direction change, inspection and supervision of raised funds. After the funds raised in this offering are in place, the board of directors of the company will continue to supervise the company’s storage and use of the raised funds, so as to ensure the rational and standardized use of the raised funds and prevent the use risks of the raised funds.
3、 Matters related to the investment direction of the raised funds for approval
The raised funds are used to supplement working capital without investment in fixed assets and other projects. The purpose of the funds is in line with the national industrial policies, and there is no need to go through the formalities of approval, approval and filing.
4、 The impact of this issuance on the company’s operation and management, financial status, etc
After the funds raised by issuing shares to specific objects are in place, it will further improve the company’s capital strength, enhance the company’s business undertaking ability, help the company expand its business scale and market share, so as to enhance the company’s competitiveness and sustainable development ability, consolidate the company’s industry position, and meet the interests of the company and all shareholders. After the issuance of shares to specific objects is completed, the company will still have a relatively perfect corporate governance structure, maintain the integrity of personnel, assets, finance, R & D, procurement, sales and other aspects, and maintain the independence of business, personnel, assets, institutions and Finance with the controlling shareholders, actual controllers and their related parties of the company. The issuance has no material impact on the directors, supervisors and senior managers of the company.
After the funds raised in this offering are in place and put into use, the total assets and net assets of the company will be improved, and the capital strength of the company will be enhanced, providing a strong capital guarantee for the sustainable, stable and healthy development of the company; The company’s asset liability ratio will be improved and its asset structure will be more stable, which will help reduce financial risks and improve its solvency, follow-up financing ability and anti risk ability.
5、 Feasibility analysis conclusion of investment project with raised funds
To sum up, the purpose of the raised funds is in line with the overall strategic development plan of the company in the future, as well as relevant policies, laws and regulations, which is necessary and feasible. After the funds raised are in place and put into use, it is conducive to enhance the company’s overall competitive strength, enhance the company’s sustainable development ability, lay the foundation for the realization of the company’s development strategic objectives, and is in line with the interests of the company and all shareholders.
Fujian Boss Software Corp(300525)
Board of directors
December 29, 2001
